Foreign companies are increasingly committing to expand operations and investment in China, signaling growing market confidence and optimism about the country’s long-term prospects.

Tesla Vice President Tao Lin recently announced plans to increase investment in China in artificial intelligence, energy, and related technologies, while continuing to localize software and hardware development. The company has also established a local training center to support the adaptation and fine-tuning of its intelligent driving systems, reflecting Tesla’s broader strategic shift toward positioning itself as a technology company focused on AI, robotics, and energy, beyond its traditional electric vehicle business.

Meanwhile, German optics leader Zeiss has begun construction of a new 50,000-square-meter campus in Shanghai’s Waigaoqiao Free Trade Zone. The project represents the company’s largest single infrastructure investment in China since its entry nearly 70 years ago, highlighting China’s appeal as a hub for innovation and high-tech development.

Swedish manufacturer SKF emphasized China’s dual role as both a key market and a source of global innovation. Annika Olme, SKF’s CTO, noted that the combination of an established industrial base with rapidly developing applications drives the company to integrate performance, cost-efficiency, reliability, intelligence, and sustainability into solutions tailored for China’s diverse and fast-evolving landscape.

China’s commitment to improving the investment environment, ensuring policy consistency, and maintaining credibility has been a decisive factor in sustaining foreign investor confidence, according to experts. The country remains a critical hub for manufacturing and consumption, offering global companies opportunities to localize production, innovate, and serve worldwide markets.

Recent surveys underline this trend: the British Chamber of Commerce 2025–26 sentiment survey shows business optimism exceeding pre-pandemic levels across legal, financial, healthcare, creative, and sports sectors. The American Chamber of Commerce 2026 China Business Climate Survey found that 57% of respondents plan to increase investment in China, with 18% expecting growth of over 20%. In addition, 70% of respondents reported that their companies continue to enjoy equal treatment, and over 60% noted fairness across industries.

China’s Ministry of Commerce emphasized that the country aims to transform its vast market into a global opportunity, enabling foreign enterprises to actively participate in China’s modernization and innovation trajectory.